British Land and Norges seeking €872m for Meadowhall - report

UK REIT British Land and Norges Bank Investment Management, managers of Norway's sovereign wealth fund, are looking for a buyer for Meadowhall shopping centre in Sheffield, UK, according to media reports.

Reports suggest a price tag of £750 mln (€872 mln).

The asset, which is 50/50 owned in joint venture by the partners, was acquired by British Land in 1999 for £1.17 bn.

The firm sold a 50% stake to London & Stamford and a Middle Eastern investor in 2009 for £588 mln.

In 2012, Norges Bank acquired London & Stamford's stake for £348 mln.

The current price tag of £750 mln would represent a net initial yield of between 7-8%, according to the reports.

Despite denials of the sale bid, sources close to the firm say that CBRE has been appointed to market the asset.

Earlier this year, the FTSE 100-listed firm reported losses of more than £1 bn as the value of its properties declined 12.3% year-on-year at the end of March.

The firm is also known for its office campus schemes in London, including Broadgate and Paddington.


Photo Paul Harrop


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